The chairman of Guess?, Inc (NYSE:GES) Paul Marciano might be in trouble if found guilty by the ongoing investigations regarding his alleged misconduct. But that is not the major concern. The greatest fear is that it might lead the company to suffering long-lasting financial implications.
The company’s Form 10-K provided stated the Board of Directors was undertaking a series of investigation to get to the bottom of the matter on whether or not the company’s Executive Chairman and Chief Creative Officer Paul Marciano was indeed guilty of the accusations that were being leveled against him.
Glaser Weil LLP is at the moment working as an independent counsel representing the Special Committee of the Board of Directors and it hopes that soon it will be able to accomplish quite much in line with the investigations.
Trusted sources indicate that the top official got to a point where he relinquished his day-to-day roles. It is indisputable that the company has in place a strong management team versed with relevant industry expertise.
However, the issue at hand was that the company was to miss the services of Mr. Marciano over an extended period of time. On top of that, difficulties in line with effectively identifying or attracting a befitting successor could end up harming the business in a significant way.
A person well conversant with the latest developments has moved ahead to disclose that the section about the investigation had been filed under “Risk Factors,” which at the same time bore items about privacy breaches, distribution, weather and a lot much more.
It was way back in February when the company proceeded to make the pronouncement that it had been making efforts to come up with a special committee which would be entrusted with the overseeing of the ongoing investigations in line with the latest allegations against Marciano.
The accusations about Marciano proceeding to wield the power he had in the company to take advantage of young women, has become a subject of talk among quite a significant number of people. However, the company might soon be making its statement regarding the matter.